Iridium Communications Inc (NASDAQ: IRDM) stock rose 5.29% after the company posted mixed results for the third quarter of 2018. IRDM has reported the Net loss of $12.9 million for the third quarter of 2018, as compared to net income of $29.3 million for the third quarter of 2017.  This decrease in net income was primarily the result of a $39.2 million increase in depreciation and amortization expense from the year-ago period, reflecting an increased number of Iridium NEXT satellites in service.  Operational EBITDA  for the third quarter was $79.4 million, as compared to $71.8 million for the prior-year period, representing a year-over-year increase of 11% and an OEBITDA margin of 58%.  OEBITDA benefitted from higher commercial service revenue and continued strength in equipment sales.

IRDM in the third quarter of FY 18 has reported the adjusted loss per share of 13 cents, missing the analysts’ estimates for the adjusted earnings per share of 9 cents. The company had reported the adjusted revenue growth of 17 percent to $136.76 million in the third quarter of FY 18, beating the analysts’ estimates for revenue by 6.58%. This compares to year-ago revenues of $116.55 million. The company has topped consensus revenue estimates four times over the last four quarters.

IRDM has reported $105.7 million of service revenue and $31.0 million of revenue related to equipment sales and engineering and support projects. Service revenue, which represents primarily recurring revenue from Iridium’s growing subscriber base, was 77% of total revenue for the third quarter of 2018. The Company ended the quarter with 1,092,000 total billable subscribers, which compares to 949,000 for the year-ago period and is up from 1,047,000 for the quarter ended June 30, 2018.  Total billable subscribers grew 15% year-over-year, driven by growth in IoT and government customers.

The Company raised its full-year 2018 outlook for total service revenue growth and OEBITDA.  The Company now expects the total service revenue growth of approximately 14% for the full-year 2018 (previous outlook was for growth between 12% and 14%). Full-year 2018 OEBITDA is expected to be of approximately $300 million (previous outlook was between $290 million and $300 million).  OEBITDA for 2017 was $265.6 million.

The Company expects the total service revenue of approximately $440 million for the full-year 2019. OEBITDA margin of approximately 60% in 2019. Negligible cash taxes through approximately 2020 and Net leverage of approximately 4.5x OEBITDA in 2019.